http://stockcharts.com/c-sc/sc?s=$SPX&p=D&yr=0&mn=6&dy=0&i=p52132118620&r=1751&.png
I showed the 20 wk FLD that Airedale showed a few days ago, I don't think the 40 wk FLD is around 1430s, I wouldn't think Airedale would've covered his short position in this case, I am sure. Although 40 wk FLD will reach to 1440 level in about 2 weeks, so the market has to rapidly rise in order to avoid crossing the 40wk FLD from here. If the market declines to mid 1430, it will trigger a 40 wk FLD within a week though. This would trigger a 120 points decline roughly to 1310!
Basically the sooner it penetrates to the 1400-1430 region, the faster a massive crash risk is increasing...
- kisa
Edited by kisacik, 01 August 2007 - 12:18 AM.